What are some key financial KPIs I should track?
An example of an AI chatbot conversation about financial KPIs and their importance.
What are some key financial KPIs I should track?
Key financial KPIs include Gross Profit Margin, Net Profit Margin, Return on Investment (ROI), and Current Ratio.
Can you explain what Gross Profit Margin is?
Gross Profit Margin measures the percentage of revenue that exceeds the cost of goods sold (COGS). It's calculated as (Revenue - COGS) / Revenue.
How can I improve my Net Profit Margin?
To improve your Net Profit Margin, consider reducing costs, increasing sales, or optimizing pricing strategies.
What is a good Current Ratio?
A good Current Ratio is typically between 1.5 and 2, indicating that a company can cover its short-term liabilities.
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